MasterCard reported this morning and has dragged Visa (for now) up from last nights inability to perform after hours given decent earnings. (aka Visa will follow the success of MA) Something tells me they were less than expected… OR… the street wanted to see what MasterCard had under its belt before they dived in. I think MasterCard can carry it for another quarter before Visa really needs to become a big boy of their own and knock out street expectations by doubling profits.

Here are some entries regarding Visa and MasterCard.

Mastering The Reality, Visa Caution
Doing Well in a Downturn? Priceless
Goldman Sachs Bullish on Visa

At this point, MasterCard is at $264 premarket, in about 30 minutes the market will open and as always it should be an interesting battle between shorts and longs. This may dip to the $257-$258 (overdone) and it may spike to the $270 level immediately out of the open (which will probably be corrected back to the $265 range)

At this point shorts are already pretty well toasted so I wouldn’t be surprised to see them get toasted even more towards the $275 range.

I am only speaking on behalf of premarket results and activity, if it can consolidate in this area you will see many $300-$320 upgrades and soon enough it will be on its way there. It’s psychological. It’s probably that Visa panic sells again out of open but I wouldn’t expect that to last (as long as MasterCard holds its gains when MA has consolidated they both should break out higher).

Here are a few lower priced stocks to watch TODAY

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Tags: MA, V

This entry was posted on Tuesday, April 29th, 2008 at 9:15 am and is filed under NASDAQ, Plays, Stocks. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.